Freddie Mac: Quality & Condition Ratings

[George Hatch]

What’s the point of getting laws changed? They’re not enforced as they are right now. All boards do are respond to threats of lawsuits, thats what Revaa does.

Give me a break, when appraisers were sending their trainees out to do property inspections It was the end of the world in this profession. but now suddenly when corporations aren’t making enough money, things get changed to where it’s no big deal if an Uber driver stops and does a few appraisal inspections in between drop offs.

I couldn’t be happier to be more or less out of this profession and part time only. I’m back to dealing with builders/contractors now, hard to believe, but they’re far more ethical and moral than an appraisal leadership. That’s saying something.

Fannie's cert includes specific assertion about what the appraiser and supervisory appraiser did or didn't do. It is the lying in the report that causes the problem. The disconnect between what the appraiser certified they did vs what they actually did which is unethical. There is a box on the 1004 the supervisor can check which discloses "did not inspect", but those fkg liars deliberately check the wrong box in order to cheat their clients and their users. To exploit for personal gain the difference in the fee between what the did vs what they said they did. AND they are also cheating their competitors in the market place while they're at it. Their dishonesty and misconduct has cost you money.

That isn't a parallel to an assignment where the appraiser's fully-disclosed SOW does not include a personal inspection and you should stop lying about that as if it was a parallel. Fannie can (and has) previously added requirements for most of their assignments for the appraiser's personal inspection and to what extent, but they can (and also have) previously not-added any such requirement for other assignment types they use. As can any other type of user.

 

[George Hatch]

This mess is partially the fault of USPAP, which failed to state that an Inspection performed for Valuation Purposes used in an appraisal is part of appraisal practice.

That one change would eliminate using nonlicensed people to "collect data" / replace the appraiser as the inspector in an appraisal.

Do you actually believe that was an oversight on their part? An angle that a smarter person such as yourself wouldn't have "missed"?

Remember, the front end of USPAP and the real property SRs are a minimum standard aimed at all real property types, not just the conventional 1-4 residential sector. Additionally, almost all assignments include additional user-driven requirements. I daresay the bare-bones zero-extras SR1/SR2 combination is a very rare bird in appraisal practice. That combo is more an example of proof-of-concept than a marketable workproduct. I've never seen one that was used in a live assignment.

Fannie's conventional 1004 is not the entry point for what is/isn't an appraisal and appraisal report. Within the larger spectrum of professional appraisal practice the 1004 never has been that entry point and it never will be. Similarly the conventional 1004 built to Fannie specs also isn't the apex expression of professional appraisal practice for 1-4s, either. It's a compromise solution, same as almost all other assignment types.

 

[J Grant]

Do you actually believe that was an oversight on their part? Remember, USPAP is aimed at all appraisal practice, not just the conventional 1-4 residential sector.

I don't think it was an oversight, I think it was an incredibly bad call on whoever wrote USPAP and the profession is disintegraing and will lose half or more of its residential members because of it.

 

[TerryRohrer]

It's fun talking about those who will replace us. The zombies pointing their fingers at the living. Although, i wouldn't call data collecting making a living in the long run.

I'm still confused about how 2 separate appraisal doings is faster than 1 doing by 1 appraiser, or more accurate. Don't look behind that curtain, bye bye appraisers.

Because an appraiser can be anywhere completing appraisals on properties anywhere else.

 

[djd09]

these unlicensed Felon home inspectors are just part of their trashing of the independent appraisers by falsely claiming racism...just note trump won

 

[George Hatch]

I don't think it was an oversight, I think it was an incredibly bad call on whoever wrote USPAP and the profession is disintegraing and will lose half or more of its residential members because of it.

IMO, most of these appraisal controversies tend to devolve to criticizing the verbiage in the definitions for not matching what people want them to mean. After all the other arguments fall flat because what the document actually says is inconvenient to their understanding of the situation it always gets blamed on not further refining the meaning of those terms.

In this case, even if the ASB was as smart as you it still wouldn't alter the outcome. The GSEs would still win. If you thought about it you'd be able to see how they could quickly adjust to defeat the attempt.
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SR2-3 is a disclosure requirement about what the appraiser personally did/didn't do.

Regardless of how USPAP defined "personal inspection" for that SR2-3 disclosure, Fannie/Freddie are free to rewrite their certs with a did/did not inspect for the appraiser signing on the left the same way they structured the signature on the right. They are not required to leave Cert #2 or any other inspection-related element of their assignments completely untouched as if they were carved in eternity. They can edit it in 5 minutes if/when it suits their purposes to do so and there's nothing TAF or anyone else related to the appraisal profession could do to stop them.

And that's what you are advocating - arbitrarily imposing requirements on these users that they think are unnecessary to their usage for some of their assignments. Because of the money.

 

[Terrel L. Shields]

they tried to say that appraisers were just finding things to things to make money from reinspections...

Inspections were always a low margin enterprise. I rarely made any decent rate on one.

wouldn't call data collecting making a living in the long run.

Does seem to be very marginal pay for anyone with any moxie.

I'm still confused about how 2 separate appraisal doings is faster than 1 doing by 1 appraiser, or more accurate.

It is neither. It's just an effort to make it cheaper.

nspection performed for Valuation Purposes used in an appraisal is part of appraisal practice.

I am curious if state boards could force inspectors to be licensed as appraisers or if the banksters would simply claim that this is federal matters and the states cannot stop them?

Physical characteristics are factual:
Things like the number of bedrooms, square footage, and property type are considered physical characteristics and are not considered confidential information under USPAP.

And seems that some of the statements AMCs are wanting the inspector to address are tippy toeing around the subject of when something is factual, and something is opinion.

The bedrooms are spacious...
The home is a remodeled rancher that might have been originally built in the 1950s and perhaps remodeled in the 1980s....
The neighborhood is quiet...
The kitchen is dated...
The HVAC is in good condition...
No termites were seen.... (the absence of evidence is not evidence of absence)

 

[George Hatch]

Besides, the GSE form in question already identifies the PDR and its source, so there is no lying by omission as to the source of that information.

 

[J Grant]

According to USPAP, physical characteristics of a property are not considered part of the "assignment results" which means they are not confidential information and can be used in an appraisal report without restriction, as they are simply observable and measurable attributes of the property itself; the analysis and conclusions drawn from those characteristics are what constitute the appraisal result.

Again, IMO this is utter stupidity on USPAP - physical characteristics of a property belong to the property and are not "confidential information) - at least the exterior -
However, many other professions revolve around inspection or listing the house and its physical characteristics - it is ludicrous of USPAP to separate the analysis and concuss from them; no other profession does that.

Does home inspection do that? Licensed pest inspection? Listing purpose inspections? Inspections by plumbers and elections? : The Ampage is not confidential information and thus is not part of an electoral electrical inspection result. Yeah, right, try that on electricians and their customers.

No other profession separates it out like USPAP does, and as a result, the other professions do not now see a large influx of non-licensed people thrust into them, taking over the most critical part of the work - because when an appraiser inspection they are simultaneously making judgments and opinions-

A house is not a compilation of "data"; nobody spent 500k to buy a bunch of data because they don't live in the "data" -turning a property inspection int a collection of "data" so unlicensed people can perform it is madness. ,

 

[George Hatch]

Again, makes no difference how we structure the label. The user still decides how much SR1 is enough for their usage. And these users have repeatedly demonstrated that the only limit to the exercise of their alternatives is what they are prohibited from doing.